A Dramatic Exit from Trump’s Social Media Venture

In a notable shift, Andy Litinsky, co-founder of Trump Media & Technology Group and former “Apprentice” contestant, has sold nearly his entire stake in the company for about $100 million. This decision follows a wave of stock volatility that has worried many investors.

Litinsky’s firm, United Atlantic Ventures, now retains only 100 shares, down from over 7.5 million in late March. This sharp decline raises concerns about the company’s stability, especially amid ongoing legal disputes regarding the shares.

The Broader Implications for Trump Media

Litinsky’s decision to sell comes amid ongoing legal challenges for both him and Trump Media, which has faced volatile share prices and intense scrutiny.

Restrictions on insider selling appear to have lifted, allowing shareholders like Litinsky to exit. This raises questions about potential reactions from other investors, especially with rumors that Donald Trump might also consider selling some shares.

Currently, Trump holds 114.75 million shares in the company, valued at approximately $1.6 billion after a significant drop from $6.2 billion in mid-May.

This week, Trump Media’s shares fell to record lows, closing around $13.98 and declining further in after-hours trading, coinciding with news of Litinsky’s sale.

The exit of such a key figure casts doubt on investor confidence in Trump Media’s future, increasing scrutiny on the company’s financial health and market prospects.

As the situation evolves, the industry will closely monitor how these developments affect Trump Media’s ambitions in the social media space, particularly with Trump’s firm stance against selling any of his shares.